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Clean Label Ingredients Industry growth 2020 | Business Outlook 2026

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Consumers have become highly educated about the detrimental effects of unnatural and processed foods and artificial ingredients. This has resulted in increasing the demand for transparency of product ingredients. According to the International Food Information Council (IFIC) reports, almost two out of three respondents claim that ingredients have a moderate influence on their food and beverage purchases. Also, consumers prefer to go by package ingredient information over online sources while shopping before purchasing any item. This has further driven the need for clean label information on consumables. Clean label ingredients are the food industry’s response to increasing consumer demand for consumables without questionable ingredients such as aspartame, brominated vegetable oil, artificial dyes, and caramel color.


Read Report Overview: Clean Label Ingredients Market


Consumers are gradually adopting healthy eating ingredients and products, thereby surging the growth of clean labeled ingredients in their food. Significant demand for organic food on account of it being a source of preventive health measures is driving the awareness for clean labeled organic consumables. As a result, food companies are choosing to differentiate their offerings by marketing their products certified and labeled as organic with detailed information on the ingredients.


Global Clean Label Ingredients Market (by Application)


Clean label ingredients have a wider implication across the food and beverage industry. Clean label ingredients are widely used in the manufacturing/production of bakery and confectionery, dairy, snacks, and frozen food, among others.


Global Clean Label Ingredients Market (by Ingredient Type)


Clean label ingredients have been gaining increasing traction in the food and beverage sector due their health benefits over artificial additives. Prominent ingredients being widely used in the market are baking staples, emulsifiers, starch and sweeteners, colors and flavors, and others (malt, fat, fiber, fruit and vegetable ingredient).


Global Clean Label Ingredients Market (by Region)


The use of clean label ingredients in food and beverages varies with different regions and countries


North America region is expected to lead the global clean label ingredients market due to the presence of national and international market players in the region. Some leading clean label ingredients providers operating in the North America region include Archer-Daniels-Midland Company, Brisan Group, Cargilll Inc., Corbion, DuPont, Ingredion Incorporated, and Sensient Technologies, among others.


Impact of COVID-19 on the Global Clean Label Ingredients Market


COVID-19 accelerated a prevalent trend wherein, consumers choose to improve well-being by consuming natural products that are perceived to be better for them. In addition, a general concern regarding health, weight management, and disease prevention has also impacted dietary choices among consumers.


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In the pre-COVID-19 era, countries such as the U.K., France, and Germany were highly influenced by claims such as no artificial flavors, sustainably farmed, minimally processed, and no antibiotics. In the wake of the pandemic, these markets are still in the free-from stage of clean label, whereas consumers in China, Brazil, Mexico, and Turkey tend to be more specific about the clean label claims that influence their health.


Competitive Landscape of the Global Clean Label Ingredients Market


The global clean label ingredients market comprises players such as Ingredion Incorporated, Sensient Technologies, Kerry Group plc, Tate & Lyle PLC, Brisan Group, DuPont, Cargill, Incorporated, Archer-Daniels-Midland Company, Corbion Inc., and Givaudan, among others. The global clean label ingredients industry represents a fragmented market in nature and is majorly dominated by constant product development. Product innovation and introduction have helped companies to grow and sustain the competition by retaining present customers and attracting new ones with their constant introduction and improvisation of products. For instance, in March 2020, Tate & Lyle acquired Sweet Green Fields, a leading stevia solutions business operating globally. The companies operating in the market have also actively engaged in joint ventures and rebranding of products with an aim to strengthen their market position and expand their business. For instance, in May 2021, Chr. Hansen Natural Colors rebranded its name as Oterra following the acquisition by EQT.

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